Waterfront properties are a luxury commodity in short supply on the market

Interest in seaside residential plots has been great over the years. Although prices have become unrealistic for many by now, the supply is still too low.

The real estate market and buyer expectations are constantly changing. Terje Võrk, a broker at Arco Vara's Pärnu office, said that if during the previous boom large seaside properties were divided into smaller ones with the goal of building as many houses as possible, now it's the opposite. "Seaside land bought during the previous boom and divided into small plots, for example on islands, are being combined again, because there is interest in large plots of land that offer privacy," he said.

"There is one more criterion: people really want their own private beach. If you have a couple of hectares of seafront land, that is a very big thing. Interest in properties with sea frontage has been constant, but now there are also more people who are willing to pay a higher price for it and who can afford it."

On the western coast, the more popular locations are Kabli, Treimani, Noarootsi, as well as larger islands. Although the prices of seaside land have risen dramatically in recent years, supply is still less than demand.

Võrk added that since building is not allowed in the sea protection zone, it is also important that at least some part of the property has building rights.

Building rights cause the most concern in Lahemaa National Park. "We have the Environmental Board overseeing us and the requirements are stricter. In Lahemaa, plots with building rights are running out," said Andrus Peiel, a broker at Arco Vara's Rakvere office.

According to him, a seaside property in Lahemaa is a luxury item. "A property with a shoreline is in a class of its own, its price is significantly higher than the price of a property near the sea. If you also have a reasonably shaped plot, for example a rectangle, so you can create your own private oasis, then that is something very special," Peiel said. "There is demand for such properties, although their price seems unreasonably high to 99 percent of people."

The northern coast is a valued region, especially Võsu, Käsmu and Vainupea attract great interest, but also Letipea and Mahu, which are already quite far from Tallinn.

According to Peiel, people's dreams are different, but price settles everything. "Privacy is such that one person wants to live on Viru Square and another in a house with a large plot in Nõmmel. On the northern coast, one could still find a large property perhaps near Vainupea, privacy in Eisma, but then already a kilometer away from the sea," he explained.

Käsmu is the most prestigious summer village on the northern coast. Võsu is sought after rather for its summer social life, regarding other preferences Peiel says that everything depends on price. "Do you buy a plot in Võpsu near Võsu for 63,000 euros and build a house or do you buy a seaside plot for 300,000 euros and build a house," he gave as an example.

According to Peiel, the idea of a summer cottage has also changed over time. "If previously it was a traditional gable-roofed house where you could also live on the second floor, now stylish cubes on the sea coast are also highly valued," he said. "And if during the Soviet era a dacha had less than 50 m2 of usable space, today it is required that in summer you could accommodate an entire family."